Are Credit Cards Spoiling Our Habits?
Last Updated: Aug 2, 2013
We have used CREDIT CARDS numerous times but still most of us are not aware about the origin of credit cards and what are they!
If credit card has to be defined in simple language it can be defined as –
“IT IS A RECTANGULAR SHAPED PLASTIC CARD ISSUED BY BANK, BUSINESS ETC FOR THE PURCHASE OG GOODS OR SERVICES ON CREDIT”
Credit Card Spoiling Our Habits
The bank credit money to the cardholder because of the promise made by him/her of paying back the borrowed money .It is always said that Coin has two faces similarly credit cards have their own pros and cons.
PROS :
- REDUCES BURDEN OF SMALL LOANS :
This is one of the major advantage of credit card .Say for e.g. you have to pay your hospital bill, it would be practically stupid to rush to a bank for loan. There comes the “credit card” or “savoir” .For such emergency situations credit cards are very useful.
- MAKE CARRYING CASH OBSOLETE:
This is one thing which we face very often i.e. cash mis- management. Imagine you are purchasing an item worth Rs 7000 and you all have in your pocket is coins, sounds bizarre right? To avoid such ruckus we have notes .Similarly, to avoid cash mis-management now-a-days people carry credit cards very often.
- FINANCIAL SECURITY: If credit cards are used wisely they always give you financial security during worst times.
CONS:
Do you know credit cards have higher interest rates (around 19% per year) than most consumer loans.Lets look at the cons of credit cards….
- Credit card gives you power to purchase almost anything,even those items which are not in your budget ,thus an individual ends up paying more price for the item.
- Credit cards encourage a shopaholic in us and if not controlled at right time one can end up in heavy debt.
- It ceases the sense of realization of of actual cost of asset.For eg.if we have a bill of 10,000/- and if we pay cash we will realize how costly the item is. On other hand if the same amount is paid by credit card we just have to sweep the card and sign the bill.Thus,credit card ceases visibility and realization of the cost of item.
We should understand credit cards are not for everyone!The people who cannot be in their budget should avoid using credit cards.Credit cards can be your play cards if used WISELY and by being in the budget they can help you with travel reservations,purchasing easily and securely..They can even help you with budget and savings.
So,what are you waiting for? Grab your credit cards and make the most of your financial resources.
Let us know your opinion on Are really credit cards spoiling our habits.
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40 Responses to Are Credit Cards Spoiling Our Habits?
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Its a hideous job to roam about carrying lots of money as there is always a probability to get attraction in lieu of robbery and other ill effects . Thus its always a positive side to carry credit card along with us . Safety and easiness is added if we follow the habit of carrying it with us . Thus it does not spoil us whereas it makes us a positive way around in all sectors .
As far i am concerned i think rotation of money is very much necessary and by using credit card you are using the money without having notes in your hand thus RBI don’t have to print a large amount of cash (for printing cash RBI has to put some gold or some kind valuable property) thus it helps to develop economy.Also by credit policy government can easily control inflation rate also buying power of the individuals.So i believe that credit cards have much benefits then its drawbacks
if we talk about the insincerity of the people who spends a lot i think whether you spend money by cash or by credit card insincere person will not care for spending money.A person who earns money he knows how much hard work he has done to get this money in his pocket.
credit cards is the most important thing in our daily life , due to this many advantage we are gettine the time . As there is a risk to carry cash everywhere we cant take this risk .The creation of credit cards provided by banks make it easy to get cash anywhere in the world.
It also saves human time. Just because of these cards people don’t have to waste their useful time in waiting for cash transaction.
this topic is so useful and belong to the recent controversy.
Every card has a two face. I n some way it is helpful to us. Since it provide us facility so we have to pay for that. As far as i concern credit cards are not spoiling our habits. Now a days we do not have to carry a lot of money in our pocket. Its not comfortable and for security purpose its good to have credit card.
this article gives us an idea of the pros and the demerits of the credit cards… everything in the world has both… the positive and negative side…. credit cards take a small space and gives us a more security…. this is good one,,,, but for any shopaholic people …using of credit cards can bring disaster…..so its pros or cons depend upon how it is used….
We all especially me being a girl am quite fond of ‘shopping’. And having a credit card in hand just boosts our hunch for it any and every-time we see something which catches our eyes! So,a habit spoiler no-doubt, leads people into being spendthrifts and then very often landing in debts because of the unaccounted spending habits. But it’s definitely a boon to people who have to carry large amounts of cash for business purpose. Hence like everything else these ‘rectangular shaped plastic cards’ commonly known as credit cards have their own positive & negative effects. When used responsibly enough they sure can come in quite handy.
As we all know that every new INVENTION has both benefits and disadvantages. Similarly, CREDIT CARDS are also one of those famous inventions which become a necessity and an important need of the people. Nowadays people find themselves bounded in a really hectic and busy schedule, so they are always in a need of a certain means which can relieve them from the various matters related to security of the money they earn with so much pain… And I think Credit Card is one just a boon of us when it comes to security of money and less wastage of time. But as we know, excess of everything is bad.. similar is the case with Credit Cards. But still it is the need of today’s busy society so I strongly support its use.
now-a-days credit cards are very useful in our daily life. As there is a risk to carry cash everywhere we cant take this risk .The creation of credit cards provided by banks make it easy to get cash anywhere in the world.
It also saves human time. Just because of these cards people don’t have to waste their useful time in waiting for cash transaction. With the help of credit cards we can easily transfer cash from ones account to another in just few seconds. We can use credit cards for the billing of food in hotels , in maals for shopping. This is the good part of using credit card if people use it in another wrong way then it may be harmful.